ROI Calculator

What is a ROI Calculator?

Calculate Return on Investment (ROI %), net profit, and annualized Compound Annual Growth Rate (CAGR %) for stocks, real estate, crypto, or business projects.

Why Use This Tool?

  • Investment Performance Tracking: Evaluate total returns and net profits from stock or real estate investments.
  • Annualized Return (CAGR): Compare investments held over different time horizons (e.g., 3 years vs 7 years) using annualized CAGR.
  • Business Project Feasibility: Measure financial returns on marketing campaigns or capital purchases.

How to Use

  1. Enter Initial Amount Invested (Cost of Investment).
  2. Enter Final Amount Returned (Value at Sale) and Investment Length in Years.
  3. View Net Profit, Total ROI (%), and Annualized CAGR (%).

Real Working Example

Input:

Initial Investment: $10,000 | Final Value: $18,000 | Holding Period: 5 Years

Output Result:

Net Profit: +$8,000 | Total Return (ROI): +80.0% | Annualized CAGR: +12.47% per year

Important Technical Details & Formulas

  • ROI Formula: `ROI % = ((Final Value - Initial Cost) / Initial Cost) * 100`.
  • CAGR Formula: `CAGR % = [(Final Value / Initial Cost)^(1 / Years)] - 1`.
  • 100% Local Privacy: Investment numbers remain 100% private in browser memory.

Related Mathematics & Financial Tools

Frequently Asked Questions

What is the formula for calculating ROI?

ROI (%) = ((Final Value - Initial Cost) / Initial Cost) * 100.

What is CAGR and why is it useful?

CAGR (Compound Annual Growth Rate) measures the constant annual growth rate of an investment over multiple years.

What is a good ROI for investments?

Average stock market index returns historically range between 7% to 10% annualized ROI.

Is it free?

Yes, 100% free.

Are my financial figures uploaded to a server?

No, all calculations execute 100% locally inside your web browser.